Conclusion 04

By Terry Kirkpatrick  |  Posted 04-15-2002 Print Email

Conclusion 04: Priorities and Compensation

CIOs haven't changed their major priorities—a mixture of high strategy and low-level supervision—since last year. This mix of priorities seems in large part connected to how they're evaluated and paid. Compensation clearly explains why understanding and contributing to business strategy ranks as a top priority.

Top priorities for last year were a mix of the strategic and tactical, including aligning IT with the business (41%), ensuring major projects were successfully completed on time and on budget (31%), and developing strategies to leverage new technology (31%). Least important were maximizing revenue (4%) and leadership development (7%).

In another indication that business focus is related to reporting relationship, 17% of CIOs reporting to the CEO say maximizing revenue is a top priority, versus 5% for those who don't.

IT executives are primarily evaluated on their contribution to achieving business strategy (35%), operational performance (25%), and interaction with their peers and superiors (13%). Seventy-one percent say they're eligible for a performance-based bonus this year, based on company financial performance (51%), overall company performance (38%), and completing projects on time and under budget (32%).


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